FDI inflows: Manufacturing remains the dominant sector

Vietnam attracted 33.69 billion USD in foreign direct investment (FDI) in the first 11 months of 2025, with manufacturing and processing continuing to draw the strongest interest from foreign investors.

A production line for camera modules and electronic components at the factory of MCNEX VINA Co. Ltd, a Korean-invested company in Phuc Son Industrial Park, Ninh Binh province. (Photo: VNA)
A production line for camera modules and electronic components at the factory of MCNEX VINA Co. Ltd, a Korean-invested company in Phuc Son Industrial Park, Ninh Binh province. (Photo: VNA)

Hanoi (VNA) – Vietnam attracted 33.69 billion USD in foreign direct investment (FDI) in the first 11 months of 2025, with manufacturing and processing continuing to draw the strongest interest from foreign investors.

According to the National Statistics Office (NSO) under the Ministry of Finance, disbursed FDI reached an estimated 23.6 billion USD during the period, up 8.9% year-on-year - the highest 11-month disbursement in five years.

Manufacturing raked in 19.56 billion USD, accounting for 82.9% of the total. Real estate followed with 1.67 billion USD, while electricity, gas, steam, and air-conditioning production and distribution brought in 754.9 million USD.

According to the NSO data, total registered FDI, which covers newly registered capital, additional capital, and capital contributions or share purchases, hit 33.69 billion USD, up 7.4% from last year. Of the 3,695 newly licensed projects valued at 15.96 billion USD, manufacturing accounted for 9.17 billion USD, or 57.5%, followed by real estate with 3.14 billion USD.

Some 1,318 projects from previous years registered additional capital totalling 11.62 billion USD. NSO Director Nguyen Thi Huong said that, combining new and additional capital, manufacturing attracted 16.52 billion USD, or 59.9% of total newly registered and adjusted capital. Capital contributions and share purchases by foreign investors reached 6.11 billion USD across 3,225 transactions, of which manufacturing accounted for 2 billion USD. In total, the sector drew 18.52 billion USD in the 11 months, nearly 55% of all registered FDI.

Experts attribute Vietnam’s appeal to its population of 100 million, abundant labour force, deep international economic integration and improving business environment. According to Hong Sun, Honorary Chairman of the Korea Chamber of Business in Vietnam (KoCham), Vietnam remains an ideal medium- and long-term investment destination for Korean companies. The Republic of Korea is the largest foreign investor in Vietnam with nearly 95 billion USD in registered capital, including major groups such as Samsung and LG.

He noted that Vietnam's stable political environment, effective FDI attraction strategy and continuous administrative reforms have strengthened investor confidence. The shift from a three-tier to a two-tier administrative structure has also helped accelerate policy response and streamline procedures.

Korean investors remain highly interested in manufacturing, while expanding into new fields such as semiconductors, artificial intelligence, energy and smart urban infrastructure.

Japanese enterprises also value Vietnam’s investment climate. Hamada Shogo, General Director of Daiwa Vietnam, said company operations have expanded since entering the market in 1995, supported by Vietnam’s open-door policy and active participation in free trade agreements. Administrative reforms, particularly in industrial zone investment procedures, have reduced processing time and improved competitiveness.

Ogawa Tsuyoshi, Director of Japanese-invested TKR Vietnam, said the company expects revenue of 1.244 trillion VND (47.29 million USD) in 2025 and 1.847 trillion VND in 2027. To meet growth targets, TKR plans to build a third factory in Vietnam and invest in equipment to assemble circuit boards in-house.

However, investors continue to face obstacles, including visa procedures for foreign experts and managers, complex VAT refund processes and customs clearance delays. Hong Sun recommended that Vietnam further reduce legal barriers, enhance administrative transparency and efficiency, and strengthen infrastructure, especially in information technology and energy, to maintain its competitiveness./.

VNA

See more

Local residents and visitors tour and shop at a fair. (Photo: VNA)

Made in Vietnam Fair set to open in Hanoi

The Made in Vietnam Fair will showcase a wide range of products, including industrial and consumer goods, processed foods, agricultural produce and handicrafts, with the participation of distribution systems, e-commerce platforms, digital platforms and digital financial solution providers operating in Vietnam.

2025 a good year for Vietnam’s securities sector: SSC

2025 a good year for Vietnam’s securities sector: SSC

During the year, the SSC made significant progress in improving the legal and policy framework. Institutional work was implemented in a coordinated manner, including the issuance of two decrees, one resolution, seven circulars and three major schemes. At the same time, the regulator strengthened policy dialogue and expanded cooperation with international organisations to support the market upgrade process.

Vietnam shows strong FDI performance in the first 11 months of 2025 (Source: vtv.vn)

Vietnam shifting FDI attraction focus from volume to quality

As production relocation to Southeast Asia accelerates and competition for FDI intensifies, Vietnam faces increasing pressure from regional rivals such as India, Malaysia and Indonesia, which are offering bold tax incentives and developing specialised industrial parks. This reality requires Vietnam to shift its focus from attracting large volumes of capital to drawing high-quality investment, prioritising core technologies, innovation, value chain linkages and higher localisation rates.

Vice Chairman of the Ho Chi Minh City People’s Committee Hoang Nguyen Dinh inspects IUU fishing prevention efforts at Hung Thai Port in Long Hai commune. (Photo: VNA)

Ho Chi Minh City steps up oversight of unqualified fishing vessels

HCM City currently has 4,475 fishing vessels, all of which have been registered and updated on the VNFishbase system. Among them, 4,268 vessels, or 95.37%, have been granted fishing licences, while 207 unqualified vessels are being strictly managed and kept ashore.

Airlangga Hartarto (fifth from right), Indonesian Coordinating Minister for Economic Affairs, and CEO of VinFast Asia Pham Sanh Chau (sixth from right) at the plant opening ceremony on December 15. (Photo: VinFast)

VinFast inaugurates EV plant in Indonesia

The VinFast Subang plant was completed and put into operation just 17 months after groundbreaking, demonstrating the company's rapid execution capability and strong implementation capacity. This is VinFast's fourth operational facility worldwide, and its first plant in Indonesia and Southeast Asia outside of Vietnam.

From early December, major retail chains in Ho Chi Minh City have recorded a noticeable increase in shoppers seeking Tet products. (Photo: VNA)

HCM City businesses ramp up production to meet Lunar New Year demand

From early December, major retail chains in the city have recorded a noticeable increase in shoppers seeking Tet products. Many consumers are taking advantage of promotional programmes to purchase gift items with long shelf lives, such as confectionery, soft drinks and processed foods, well ahead of the holiday peak.

Workers process fish to be tinned for export at KTC Canned Food Factory under Kien Giang Trading JSC. (Photo: VNA)

Vietnam to host seminar on export growth strategies

Vietnam's exports rose 16.1% to 430.2 billion USD in the first 11 months of 2025, while total trade hit 839.8 billion USD during the same period. This strong performance shows that exports remain a key driver of economic growth, boosting Vietnam's standing on the world stage in recent years.

The vessel carrying the 2 millionth TEU arrives at Hai Phong Port. (Photo:VNA)

Hai Phong Port reaches 2-million-TEU milestone

Handling the 2 millionth TEU in 2025 not only demonstrates Hai Phong Port’s operational capacity and the collective efforts of its workforce, but also highlights its increasingly important role in regional and global supply chains, the confidence of shipping lines, logistics firms and the business community, and the effectiveness of policies to improve the investment climate and strengthen maritime infrastructure and services.

Melons labelled with traceability codes on display at the Song Van agricultural produce store in Ninh Binh city, Ninh Binh province. (Photo: VNA)

Tracing origins hindered by fragmented data systems

As the Government accelerates the digital economy, establishing a unified national traceability system has become a crucial move to end data fragmentation and disconnection among ministries, sectors and localities.